Self Administration (Section 270a)

The German Insolvency Statute as a rule appointments  an insolvency administrator in the case of an insolvency, who is instructed to continue business operations if possible and to secure the company's assets. With this, the control over decisions regarding day-to-day business is de facto transferred from the company to the insolvency administrator. However, the company may file an application self administration. This means that the members of the management continue business operations themselves, thereby taking reorganisation under the insolvency proceedings into their own hands. An insolvency monitor appointed by the court monitors and supports the process.

The consultants of hww prepare the application together with the management, develop a sustainable reorganisation concept and can take over the operational restructuring function in the company as temporary chief restructuring officers. Moreover, we support you in talks with market partners and stakeholders, we stabilise and, if required, continue business operations with you and take over the operational management of the insolvency proceedings.

The insolvency administrators of hww are available as insolvency monitors who control the proceedings with a steady hand and, if required, actively participate in the proceedings. Doing this, they closely work with the management and consultants.

More information at: Insolvency monitoring

What are the benefits of debtor-in-possession management?

Debtor-in-possession management in insolvency proceedings offers companies the opportunity to

  • control the reorganisation themselves;
  • remain available to their market partners with the same points of contact as before; and
  • design the reorganisation process in a way that is plannable, transparent and cost effective for everyone involved.